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Help Geotagged photos - not correct location

Having taken a photo with geotagging enabled I find when having uploaded to flikr or picasa the photo position on the map is where I did the upload itself ie at home using my wifi. The photo doesn't appear on the map where it should. I realise flikr allows me to drag the photo to the correct spot but if it has the coordinates why doesn't it do it automatically
 
My assumption is that photos won't be geo-tagged properly unless the phone has a GPS lock. So, if you activate the camera and immediately take a photo, the GPS will have had no chance to determine where it is. without GPS data, I guess the software developers had three options: use network data to give a rough location, leave the lat/long blank, or use the last known position.
 
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